NC POST LICENSING 301 PRACTICE STUDY
GUIDE REVIEW SHEET SOLVED PROBLEMS
FULL SOLUTION ALREADY PASSED
GUARANTEED TO PASS
⩥ A Licensee can receive compensation that was earned WHEN
- VIP.
Answer: the license was current and active even if inactive of
expired after
⩥ A BIC may NOT pay a licensee's ENTITY.
Answer: unless the entity has a firm license.
⩥ A Licensee can share commission with parties BUT.
Answer: 1) Must be in writing - as part of the agreement
2) Must be subject to Lender Approval in case of loans
3) Disclosed on the Closing Disclosure
,4) Is considered a gift
5) Only with principal or client (not others)
⩥ Compensation ALWAYS flows through the firm.
Answer: 1) from the BIC
2) NO payment directly by the firm
3) Brokers MAY NOT pay brokers directly except a SOLE
PROPrietorships
⩥ When Paying Non-Affiliated Brokers or Firms.
Answer: 1) Best Practice to put in writing - Not a Rule
2) May pay referral fees to brokers in any state if person has a
CURRENT and ACTIVE license
3) DOCUMENTATION in broker's file:
- Written documentation regarding fee
- Proof of licensure
, - Copy of a W9 for Brokerage Insurance or a 1099
⩥ When receiving Bonuses & Incentives.
Answer: Disclosure AND consent by Principal is REQUIRED
⩥ RESPA Prohibits.
Answer: KICKBACKS to
Settlement Service Providers
- BANKS
- APPRAISAL COMPANIES
- TITLE OFFICERS
- ATTORNEYS
⩥ RESPA STATUTE.
Answer: Applies to:
- 1-4 units RESIDENTIAL PROPERTIES WITH A
FEDERALLY RELATED LOAN
- ENFORCED BY HUD
⩥ RESPA does not apply to (VIP).
GUIDE REVIEW SHEET SOLVED PROBLEMS
FULL SOLUTION ALREADY PASSED
GUARANTEED TO PASS
⩥ A Licensee can receive compensation that was earned WHEN
- VIP.
Answer: the license was current and active even if inactive of
expired after
⩥ A BIC may NOT pay a licensee's ENTITY.
Answer: unless the entity has a firm license.
⩥ A Licensee can share commission with parties BUT.
Answer: 1) Must be in writing - as part of the agreement
2) Must be subject to Lender Approval in case of loans
3) Disclosed on the Closing Disclosure
,4) Is considered a gift
5) Only with principal or client (not others)
⩥ Compensation ALWAYS flows through the firm.
Answer: 1) from the BIC
2) NO payment directly by the firm
3) Brokers MAY NOT pay brokers directly except a SOLE
PROPrietorships
⩥ When Paying Non-Affiliated Brokers or Firms.
Answer: 1) Best Practice to put in writing - Not a Rule
2) May pay referral fees to brokers in any state if person has a
CURRENT and ACTIVE license
3) DOCUMENTATION in broker's file:
- Written documentation regarding fee
- Proof of licensure
, - Copy of a W9 for Brokerage Insurance or a 1099
⩥ When receiving Bonuses & Incentives.
Answer: Disclosure AND consent by Principal is REQUIRED
⩥ RESPA Prohibits.
Answer: KICKBACKS to
Settlement Service Providers
- BANKS
- APPRAISAL COMPANIES
- TITLE OFFICERS
- ATTORNEYS
⩥ RESPA STATUTE.
Answer: Applies to:
- 1-4 units RESIDENTIAL PROPERTIES WITH A
FEDERALLY RELATED LOAN
- ENFORCED BY HUD
⩥ RESPA does not apply to (VIP).
